5 Employee Engagement Statistics You Should Be Aware of in 2024

An organization becomes successful as a result of a productive workforce. If your employees do not enjoy their jobs, they will not be able to give their 100%, ultimately making your business suffer. 

An engaged employee always does everything possible to make their workplace better. They are committed to their job and understand that organizational success will ultimately lead to their success. 

All in all, employee engagement is a dynamic assurance that the employee gives to the organization. 

What makes employee engagement a crucial part of an organization’s success?

Engaged employees always go the extra mile in delivering for the success of an organization. Here are some reasons that make employee engagement the number one priority for businesses.

Employee engagement results in productivity enhancement in the organization

Employees who are engaged with their work will try to outclass their peers. It has been found that higher employee engagement results in higher productivity.

Employee engagement enhances the self-esteem of the workforce

When an employee is engaged with an organization, they take fewer leaves. According to a Gallup study, highly engaged workforces saw 41% less absenteeism. 

Employee engagement results in better customer service

Importance of Employee Engagement

Remember that low employee engagement is one of the organization’s gravest problems. In fact, it has been estimated that businesses spend $4,700 on average to hire new talent and approximately $986 to onboard the new hire. 

If you lose out on an employee, you end up losing $6,000! And the cost of an experienced employee leaving cannot be estimated!

It has got to be said that engaged employees are a blessing to an organization. They are far more efficient and productive. 

But, today, we are seeing several engaged employees in an organization; hence, it becomes imperative to understand the statistics behind employee engagement so that you can develop a proper employee engagement plan.

In the next section, we have provided some vital employee engagement statistics you should be aware of. 

Also Read: Boost Your Employee Experience for a Better Customer Experience

Five employee engagement statistics you should be aware of in 2023

85% of employees are not engaged in the workspace

Employee Disengagement

According to a State of the Global Workspace survey by Gallop, 15% of employees are engaged in the organization. This means that most of the workforce globally is either considering their work negatively or just doing enough to make it through the day with little to zero emotional connection.

The study further suggests a stark contrast when comparing the USA to other countries across the globe. 33% of US employees are engaged in their work, approximately two times the global average. 

Whereas, in Western Europe, 10% of employees are motivated and engaged in work. The situation is even more bleak in the UK, where the number of engaged employees is only 8%! This number has steadily declined with every passing year.

Also Read: Best Employee Engagement Strategies for Better Workplace

The global percentage of employees considering leaving their jobs is 73%

As per a study conducted in 2021, 73% of employees would contemplate upon leaving their current job if they get a better opportunity. 

And it is not all about money. In fact, 74% of younger employees will take a pay cut to work in their dream organization. 

At the same time, 23% of those looking for a better opportunity will not consider a pay rise to get a new position.  

Hence, organizations must build healthy relationships with their employees. Also, there needs to be a proper work-life balance so that employees can enjoy their personal life after work. 

It has also been observed that employees who see their peers doing well will look for better opportunities because of the domino effect.

Also Read: 10 Best Employee Retention Strategies to Keep Your Best Talents

Lower employee engagement costs organizations $450-500 Billion every year

As per a study conducted in the USA on workplace engagement, employees who are not engaged with their workplace cost organizations approximately $450-500 Billion yearly! Employees who are not engaged do not take complete responsibility for their work. 

They are also not self-motivated, adversely affecting the organization’s overall productivity.

According to the study, companies need to concentrate on using different tools to monitor and maintain personal engagement among employees. 

Ensuring that the employees sink in well with the organization’s goal is equally important, which can result in recognition and encourage teamwork. 

69% of employees suggest that they would be inclined to work more if they were appreciated a little more

Employee recognition is one of the most vital components to ensure your work staff gives 100% to their job. It also enhances overall job satisfaction and helps HR retain top talent

According to research when employees are appreciated frequently at work, they are more inclined to stay in the organization longer. 

And when we are discussing appreciation, it goes beyond notable achievements. It can be as simple as thanking employees for their good behavior, identifying ways they have improved so far, etc. 

Expressing gratitude is one of the biggest factors that can make an employee stay in an organization longer. Regular check-ins where managers praise their employees can boost their morale and encourage them to work even harder.

Also Read: Engagedly + Meta Workplace: Elevate Rewards and Recognition to New Heights

A strong organizational culture enhances revenue by four times

Strong Organizational Culture-EmployeeEngagementStatistics

According to a study conducted for more than eleven years, it was found that organizations with great corporate cultures grew 682% in revenue, while those that did not have great corporate cultures grew by only 166% in revenue. 

A strong corporate culture cultivates the feeling of belongingness amongst employees, customers, and owners. It also challenges the employees to do their best. 

Employees having a strong sense of belongingness are more proactive in solving problems, expressing their opinions, and finding opportunities for collaboration. Thus, a positive work culture is a must for any organization.

Final Words

Employee engagement is key to the success of an organization. From the statistics we mentioned in this blog, you now know that building an emotional connection with employees is vital. 

Hence, it is recommended that every organization globally cares for its employees and gives them the right work environment to flourish. Ultimately, it is your workforce that will take your business ahead. So, take care of this small fact and embark on the journey to grow with your employees!

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Frequently Asked Questions

Q1. Why employee engagement is important in 2023?

Ans. Employee engagement is important in 2023 because it directly impacts a company’s profitability. Engaged employees are more productive, innovative, and committed, leading to improved business outcomes and a competitive advantage in the market.

Q2. How to increase employee engagement in 2023?

Ans. In 2023, increasing employee engagement can be achieved through purpose-driven leadership. This involves creating a clear and inspiring vision for the organization and effectively communicating it to employees. Leaders need to emphasize the meaningful impact of employees’ work, align their goals with the company’s purpose, and foster a supportive and inclusive work environment. By connecting employees’ roles to a larger purpose and providing them with autonomy, development opportunities, and recognition, organizations can cultivate higher levels of engagement and motivation among their workforce.

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The Go To Guide To Perfecting The Employee Engagement Survey

Employee disengagement is a global problem. Gallup’s study on workforce engagement found that, globally, 85% of employees are disengaged at work. It means they are not working at their full potential and do not add much value to the business.

The effect of disengagement has been compounded by the changing business landscape and the economic downturn, which have struck hard on employees and businesses alike. 

How do organizations then plan to stay productive and throttle at their full potential?

Enters employee engagement surveys, which help measure employees’ involvement and commitment to their jobs and provide insights into the various aspects of workplace engagement.

Interested in knowing how to effectively use engagement surveys to increase the productivity, efficiency, satisfaction, and commitment of employees? Then read on to the end to find out how to fix employee disengagement.

In this article, we will discuss the intricacies of employee engagement and discuss the following:

What is Employee Engagement?

Employee engagement is a measure of the level of dedication, enthusiasm, and passion that employees have for their work and the organization. It is the zeal and desire that employees have to go above and beyond their job roles.

Engaged employees are invested in their jobs and contribute more to the success of the company than their disengaged counterparts. They are more productive, more likely to stay with the company, and deliver high-quality work.

“Employee engagement is often considered the cornerstone of business success. Engaged employees show more commitment towards business goals and values and help organizations succeed. They are ready to go the extra mile when needed, and they believe in making a difference through their efforts.” Srikant Chellappa, Founder & President, Engagedly

What causes engagement among employees

It is the responsibility of the leaders to engage their employees in order to be successful in a dynamic marketplace. They can enhance engagement by establishing proper communication channels, making employees feel a part of the organizational journey, providing regular feedback, and offering rewards for excellent performance. 

The following key drivers of employee engagement must be monitored frequently by HR leaders to improve workforce engagement:

  • A positive and supportive company culture
  • Clear and effective communication
  • Opportunities for professional development
  • Recognition and rewards for good work
  • A sense of purpose and meaning in the work
  • A sense of belonging and inclusion in the workplace

By promoting employee engagement, organizations can foster a positive and productive work environment, which ultimately leads to better business outcomes.

Also Read: Best Employee Engagement Strategies for Better Workplace

What is an Employee Engagement Survey?

employee engagement survey: what it means?

An employee engagement survey is a tool used to measure the engagement level, commitment, and satisfaction of employees within an organization. 

The survey typically includes a set of standardized questions that employees are asked to answer anonymously. The various aspects that surveys focus on are employee experience, communication, work-life balance, recognition, and career development opportunities. 

The data collected through surveys is analyzed to identify the current engagement levels of employees, initiatives that are working well, and bottlenecks that need to be removed. Furthermore, the feedback provided by employees can help take actionable steps to improve overall employee engagement, satisfaction, performance, and experience.

It is important for organizations to regularly measure and monitor employee engagement to enhance the employee experience and help them stay productive. Implementing engagement initiatives such as employee recognition programs, professional development opportunities, and open communication channels can help boost engagement at different levels of the organization.

Also Read: 6 Smart Tools to Measure Employee Engagement

Employee Career Development

Importance of Employe Engagement: Global Data on Employee Engagement

​​The following facts and figures demonstrate the clear link between employee engagement and business outcomes and highlight the importance of investing in employee engagement for organizations.

  • Engaged employees are 21% more productive than their disengaged counterparts. (Source: Gallup)
  • Companies with engaged employees experience 2.5 times less turnover. (Source: Aon)
  • Engaged employees are 87% less likely to leave their company. (Source: Gallup)
  • Companies with high levels of employee engagement have a 41% lower absenteeism rate. (Source: Aon)
  • Engaged employees are more likely to drive innovation, as they are more willing to share new ideas and take initiative. (Source: Harvard Business Review)
  • Companies with engaged employees experience a 20% increase in sales. (Source: Dale Carnegie)
  • Engaged employees are more likely to be customers’ advocates, leading to increased customer satisfaction and loyalty. (Source: Gallup)
  • Engaged employees are more likely to stay with the company long-term and are less likely to seek new opportunities. (Source: SHRM)

Also Read: How To Set Employee Engagement OKRs To Make A Real Difference

What is the Purpose of Employee Engagement Surveys?

To remain competitive in a dynamic and ever-changing business environment, organizations need a dedicated, engaged, and productive workforce. This has led to a surge in the use of employee engagement surveys to collect qualitative and quantitative data to make consistent improvements in employee engagement and experience.

Studies have shown that employees who actively participate in employee engagement surveys tend to be more invested in their jobs and actively contribute to the growth of the organization. 

On the other hand, disengaged employees show decreased productivity and can even lead to negative customer experiences.

“Engaged employees are the driving force behind any successful organization, they are the ones who bring passion and purpose to their work, and ultimately drive the growth and success of the company. Investing in employee engagement not only improves morale and productivity, but also leads to higher retention rates and a stronger bottom line.” Jayashankar Balaraman – Founder CEO 

There could be various reasons for disengagement, such as dissatisfaction with the job role, a lack of trust in the survey process, distrust in management, a lack of communication skills, or a fear of giving honest feedback.

Disengagement is costly, and to combat it, organizations conduct employee engagement surveys that serve multiple purposes, such as:

  • Understanding the drivers of employee engagement and dissatisfaction
  • Identifying opportunities to improve communication and collaboration
  • Measuring the success of engagement initiatives
  • Identifying opportunities to improve the employee experience
  • Understand the drivers of employee retention
  • Identifying the initiatives that are working well
  • Driving behavioral changes in employees
  • Keeping a pulse on employee sentiment
  • Predictor of employee behavior

What are the Benefits of Employee Engagement Surveys?

Employee engagement is critical to the success of an organization. It helps businesses improve their overall performance by creating an engaged, dynamic, and committed workforce. Much research has shown that engagement is an indicator of progress, and companies with higher engagement indices do well, even in unprecedented situations. 

An employee engagement survey touches upon all aspects of a business and is known to benefit the following:

  • Identifying areas of improvement: They help identify specific areas where employees feel disengaged or where the company can improve.
  • Measuring engagement levels: Surveys can provide a quantitative measure of engagement levels, allowing organizations to track progress over time.
  • Understanding employee needs and expectations: They help understand the needs and expectations of their employees, which can inform decision making and improve employee satisfaction.
  • Improving communication and transparency: Surveys can help improve communication between management and employees, and increase transparency in the organization.
  • Boosting employee morale and retention: Engaged employees are more likely to be satisfied with their jobs and stay with the company longer, which can help boost morale and reduce turnover.
  • Avoiding Catastrophic Mistakes: Disengaged employees are more likely to make errors that can cause revenue loss. Conducting engagement surveys can help avoid such scenarios.

Also Read: 21 Best Employee Engagement Activities Your Team Will Actually Love

Best Practices to Create Employee Engagement Surveys

When creating employee engagement surveys, it is important to consider the following best practices:

  • Keep it short and focused: Use a limited number of questions that are directly related to the objectives of the survey.
  • Use open-ended and closed-ended questions: Use a mix of open-ended questions to gain qualitative insights and closed-ended questions to gain quantitative data.
  • Use clear and simple language: Avoid using jargon or complex language that might be difficult for some employees to understand.
  • Ensure anonymity: Make sure that employees feel comfortable providing honest and candid feedback by maintaining their anonymity.
  • Use a validated survey instrument: Use a survey instrument that has been validated and tested for reliability and validity.
  • Use a consistent format: Use a consistent format throughout the survey to make it easy for employees to understand and complete.
  • Allow for free-form feedback: Allow employees to provide free-form feedback, as it can provide valuable insights and context.
  • Provide context and background: Provide employees with context and background information about the survey and how the data will be used.
  • Consider the timing of the survey: The timing of the survey is of great importance in order to get a higher response rate and data accuracy.
  • Consider the frequency of the survey: Some organizations conduct surveys annually and then wait for a year to collect input from their employees. Much has already happened in the gap, and if their surveys are not accompanied by action, then it might result in disgruntled employees. Therefore, human resource managers must conduct engagement surveys regularly in order to send a message that employees’ input is valued.
  • Be responsive: Take action based on the survey results and communicate the actions taken to employees.
  • Use employee engagement software: Use a specialized tool or software to facilitate survey creation, distribution, and analysis.

Also Read: HR Leaders Strategies to Running Engagement Surveys

How to Create and Conduct Employee Engagement Survey

Creating an employee engagement survey is a tedious task. It requires months of planning to address the areas that the survey should touch upon and the involvement of employees from every level of the organization. 

To yield actionable results from surveys, HR managers should consider forming a cross-functional team of experts to look into different aspects of survey creation. 

The following points highlight the extensive process of creating employee engagement surveys:

Employee engagement infographic

Also Read: A Beginner’s Guide to Creating Engagement Survey

Smart Employee Engagement Survey Questions

Asking the right questions in employee engagement surveys is crucial, as it ensures that the survey addresses pressing issues, provides valuable insights, and solicits employee feedback.

Clear, relevant, and unbiased questions help to gather accurate data, identify patterns and trends, and inform actions for improvement. 

Additionally, it also helps to establish trust and confidence among employees that their feedback is valued and taken into account. You can refer to the below questions while drafting the survey:

  1. On a scale of 1 to 5, how satisfied are you with your job?
  2. How well do you feel your job aligns with your personal values and goals?
  3. How well do you feel your immediate supervisor supports and encourages your professional development?
  4. How well do you feel your ideas and suggestions are heard and considered within the company?
  5. On a scale of 1 to 5, how strongly do you identify with the company’s mission and values?
  6. How well do you feel your contributions are recognized and valued within the company?
  7. How well do you feel you are able to balance your work and personal life?
  8. How well do you feel your workload is managed and that you have the necessary resources to complete your tasks?
  9. How well do you feel you are able to communicate with your coworkers and other departments within the company?
  10. How well do you feel the company promotes a positive and inclusive work environment?
  11. How well do you feel your job security and benefits meet your needs and expectations?
  12. How well do you feel your job provides opportunities for growth and advancement?
  13. How well do you feel the company’s management team responds to and addresses employee concerns?
  14. How well do you feel the company’s training and development opportunities meet your needs?
  15. How likely are you to recommend this company as a good place to work to others?

Employee Engagement

Employee Engagement Template

An employee engagement template is a tool that organizations can use to measure and track employee engagement levels. It typically includes a set of questions and/or surveys that employees are asked to complete, as well as a framework for analyzing the data collected and identifying areas for improvement.

Here is an example of an employee engagement template’s components:

  • Introduction: Provide an overview of the employee engagement survey and its purpose.
  • Demographics: Collect basic information about the employees taking the survey, such as job title, department, and length of time with the organization.
  • Engagement Factors: Ask questions related to the key factors that influence employee engagement, such as internal communication, leadership, recognition, and work-life balance.
  • Open-ended questions: Provide employees with an opportunity to share additional feedback and suggestions.
  • Action Plan: Use the data collected to identify areas for improvement and develop an action plan to address them.
  • Follow-up: Schedule a follow-up survey or meeting to check in on progress and measure the impact of the action plan.

It’s important to note that employee engagement surveys are not a one-time solution; they are an ongoing process. It’s important to track progress over time and make adjustments as needed.

Additionally, it’s also important to use a comprehensive employee engagement survey that is validated and benchmarked. With a validated survey, you can be sure that the results are reliable and meaningful.

Download the Engagedly Employee Engagement Survey Template

What to do with Employee Engagement Survey Results

The employee engagement survey forms the baseline for creating an action plan and implementing it across the organization. The real job starts after collecting the responses of employees in various key focus areas. 

Response data has to be thoroughly analyzed and subjected to various tests to check for validity and accuracy. To get the most out of the survey results, management must follow the following steps to create a strategic action plan:

Employee engagement survey results InfographicEmployee Engagement Survey with Engagedly

Employee engagement is a crucial metric for any organization, impacting productivity, retention, and overall success. However, accurately gauging employee sentiment and identifying key drivers of engagement can be challenging. Engagedly’s employee engagement survey offers a comprehensive and objective approach, empowering organizations to:

Gaining a Nuanced Understanding of Employee Sentiment:

  • Customized Surveys: Engagedly’s platform allows tailoring questionnaires to your specific organizational context and needs. This ensures the data collected is relevant and reflects your unique culture and challenges.
  • Multi-level Perspectives: Gather feedback from various levels of the organization, from senior management to individual contributors and across different departments. This holistic approach provides a richer understanding of employee sentiment and reveals potential blind spots.
  • Confidentiality and Trust: Engagedly prioritizes anonymity and data security, encouraging honest and unbiased feedback. This fosters trust and open communication, ensuring the data accurately reflects employee sentiments.

Identifying Key Drivers and Areas for Improvement:

  • Data-Driven Insights: Engagedly’s platform analyzes survey data using sophisticated algorithms to identify key drivers of engagement, satisfaction, and dissatisfaction. This reveals areas where your organization excels and pinpoints potential areas for improvement.
  • Benchmarking and Comparison: Compare your engagement metrics against industry benchmarks and best practices to understand your relative strengths and weaknesses. This allows you to prioritize improvement efforts effectively and focus on areas with the most significant impact.
  • Actionable Reporting and Visualization: Data is presented in clear and concise reports and dashboards, making it easy for everyone to understand the findings and take informed decisions. This promotes transparency and facilitates collaboration in addressing identified issues.

Fostering a Culture of Continuous Improvement:

  • Communication and Transparency: Share survey results and insights openly with employees, demonstrating your commitment to addressing their concerns and feedback. This builds trust and encourages engagement in the improvement process.
  • Action Plan Development: Work collaboratively with employees to develop actionable plans based on survey findings. These plans should outline specific steps, responsibilities, and timelines for addressing identified issues and improving engagement metrics.
  • Ongoing Monitoring and Evaluation: Implement pulse surveys and other feedback mechanisms to track progress and measure the effectiveness of implemented actions. This ensures continuous improvement and allows for adjustments to the plan as needed.

Engagedly’s employee engagement survey is not a one-time event; it’s a catalyst for positive change:

  • Enhanced Employee Motivation and Retention: By actively addressing employee concerns and improving the work environment, you can boost morale and reduce turnover, leading to a happier and more productive workforce.
  • Improved Productivity and Performance: Engaged employees are more productive, contribute more effectively, and are more likely to go above and beyond. This translates to increased organizational success and achievement.
  • Data-Driven Decision Making: The insights gleaned from the survey can inform strategic decisions across various areas, from talent management and compensation to communication and training programs. This data-driven approach helps you optimize your practices for long-term success.

Engagedly’s employee engagement survey is more than just a tool; it’s an investment in your workforce and your organization’s future. By providing valuable insights, driving actionable plans, and fostering a culture of continuous improvement, it empowers you to create a thriving work environment where employees feel valued, engaged, and motivated to contribute their best.

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